Two Houses on Large
For Sale
Contact for pricing
1040 Gillespie Dr, Spring Valley, CA 91977
Two almost new houses on a large lot, private street.
Property Size2,729 SF
Price / SF$375.60
Days on Market159
Property Features for 1040 Gillespie Dr
General Information
Standard status
Active
Size
2,729 SF
Property subtype
Multifamily
Building Details
Year Built
2021
Buildings
2
Stories
1
Units
2
Listing Agency:
Cabrillo Mortgage & Realty Service
(619) 246-8012
Listed By:
Brian Turner · License #01183765
Source:
Crexi
Added: Mar 9
Changed: Aug 8
Last Checked: Aug 8 at 6:37AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Cabrillo Mortgage & Realty Service
Investment Insights
Based on property information with market context.
This property features two almost new houses situated on a large lot located on a private street. The residences offer ample parking and yards, designed for low maintenance. Each master suite includes double sinks and walk-in closets. The houses feature laundry rooms, open floor plans, and island kitchens. The property generates $7,050 per month in rental income. The property size is 2729 square feet.
Key Highlights
- Generates $7,050/month in rental income
- Two houses on one large lot
- Located on a private street
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$48,896
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
4.77%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$977,920
$977.9K
Cap Rate 7%
$698,514
$698.5K
Cap Rate 9%
$543,289
$543.3K
Market Conditions
NOI Build-Up for 2,729 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$73.7K $27.00/SF
− Vacancy
−$3.8K −$1.40/SF
EGI
$69.9K $25.60/SF
− OpEx
−$21.0K −$7.68/SF
NOI
$48.9K $17.92/SF
Area
San Diego County, CA
Vacancy
5.20%
Lease Rate
$27.00 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$977,920
Cap Rate 7%
$698,514
Cap Rate 9%
$543,289
Alternative Uses
Best Use
Multifamily LT 5
$698.5K
$611.2K – $814.9K
NOI $48,896 @ 7.0% cap · market cap 4.77%
Second Best
Apartment 5plus
$647.8K
$566.8K – $755.7K
NOI $45,344 @ 7.0% cap · market cap 4.42%
Theoretical Best
Office A
$1.25M
$1.09M – $1.46M
NOI $87,524 @ 7.0% cap · market cap 8.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
585
Businesses Nearby
Explore this area
Business Placement
Demographics for 91977, CA
60,795
Population
20,026
Households
3
Avg Household Size
36
Median Age
26%
College-Educated
88%
High-School Grad
9.9 sq mi
ZIP Area
6,141
Density / Sq Mi
$92,407
Median Household Income
$46,706
Median Earnings
$1,897
Median Rent
$623,500
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Duplex - Two almost new houses on a large lot, private street.
Where is this duplex located?
The property is located at 1040 Gillespie Dr Spring Valley, CA.
What is the asking price?
The asking price for this property is $1,025,000.
What are key features of this property?
This property features: Generates $7,050/month in rental income; Two houses on one large lot; Located on a private street
